PERSONAL LIABILITY OF DIRECTORS FOR BREACHING THE TERMS OF EMPLOYMENT CONTRACTS

On 30th May, Dentons published a briefing about a UK modern slavery case where Lithuanian workers were employed by DJ Houghton Chicken Catching Services to work at various farms across the UK as chicken catchers. They were subjected to appalling conditions, paid less than minimum wage and often had pay withheld or docked for unknown reasons, and no attempt was made to pay their holiday pay or overtime and they were prevented from taking holidays and bereavement leave.  2 of the directors of the company have been held personally liable for breaches of the employment contracts – in particular in relation to unpaid wages, unlawful deductions and fees and lack of holiday pay.  This case highlights that, in order for there to be a risk of personal liability, there must be some unlawful deliberate action which is detrimental to the company.

https://www.dentons.com/en/insights/newsletters/2019/may/30/uk-employment-law-roundup/uk-employment-law-roundup-may-2019/personal-liability-of-directors

Author: raytodd2017

Chartered Legal Executive and former senior manager with Isle of Man Customs and Excise, where I was (amongst other things) Sanctions Officer (for UN/EU sanctions), Export Licensing Officer and Manager of the Legal-Library & Collectorate Support Section

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